More independent brewers announce closures and restructuring

More closures: Independent brewers face mounting pressure
More closures: Independent brewers face mounting pressure (Getty Images)

Pressure continues to mount on independent brewers after two more businesses announced major operational changes this week.

Queer Brewing is set to cease trading this summer while Redemption Brewing has entered administration as it seeks new investment.

The developments come as Adnams closes five retail stores across East Anglia following sustained financial pressure and wider operational challenges.

Join our new WhatsApp channel: The Morning Round-Up

Get the biggest pub trade stories straight to your phone. Listen to our one-minute daily news briefing and receive breaking news, exclusives and sector updates throughout the day. Remember to turn notifications on in the top right corner!

Join the channel here.

Sector pressures

East London based Queer Brewing announced this week it would wind down operations at the end of July after seven years in business.

The queer and trans owned brewery said it had become “busier than ever” but was “no longer able to continue operating” amid mounting industry pressures.

Redemption Brewing has also entered administration as it works to secure new investment or ownership.

Founded in 2010, Redemption was among the breweries that helped shape London’s modern craft beer scene and became the first brewery to open in Tottenham in almost 100 years.

Administrators at FRP Advisory have now set a 12 June deadline for expressions of interest from prospective buyers, with the brewery continuing to trade throughout the process.

Existing supply contracts, including relationships with JD Wetherspoon and other operators, are being maintained.

Phil Reynolds, joint administrator of Redemption Brewing and restructuring partner at FRP, said: “The financial pressures facing independent brewers right now are well documented, but the quality of what Redemption produces is not in question.”

The brewery said rising operating costs and “the sharp increase in industrial rents following Covid” had placed significant pressure on the business, despite maintaining a loyal customer base and continued demand for its beers.

Redemption plans to continue trading throughout the administration process while options for the future of the business are explored.

The developments follow warnings from the Society of Independent Brewers & Associates (SIBA) earlier this year that independent brewery closures had accelerated sharply across the UK, with almost three breweries per week shutting during 2025.

SIBA previously warned the sector could face a “survival crisis”, pointing to rising tax burdens, market consolidation and restricted access to pubs as key pressures facing small brewers, despite continued consumer demand for local independent beer.

Mounting challenges

Heritage brewer Adnams has also moved to restructure parts of its business following sustained cost pressures.

The Suffolk based brewer closed five retail stores on 1 June after previously warning of challenging trading conditions and changing consumer habits.

Adnams has also reduced the ABV of several beers across its range, including Ghost Ship Pale Ale and Southwold Bitter, following changes to the UK alcohol duty system.

Jenny Hanlon, chief executive of Adnams, told The Morning Advertiser (MA): “Like many businesses across the hospitality and brewing sector, we’re navigating rising costs and changing consumer habits, so it’s important that we continue to adapt and focus on the areas where we can deliver the greatest value for our customers and communities.

“The decisions we’ve recently taken are part of making sure Adnams remains a strong and sustainable business for the long term. While the wider operating environment continues to be challenging, we’re confident in the strength of our brand, the quality of our products and the loyalty of our customers.”

The latest developments follow a series of major challenges across the UK brewing sector over the past year, including administration processes involving Phantom Brewing, Overtone Brewing and Big Hand Brewing.

The sector has also seen wider restructuring activity involving larger operators, including Innis & Gunn entering administration before being rescued by C&C Group, Keystone Brewing Group filing a notice of intent to appoint administrators, and BrewDog agreeing a rescue deal with Tilray earlier this year.

Last year operators voiced wider concern over the future of British brewing heritage, with campaigners and beer writers warning that consolidation among larger brewers risks reducing consumer choice.

Industry leaders have repeatedly warned that rising labour costs, energy prices, industrial rents, business rates and tax pressures are creating an increasingly difficult operating environment for independent brewers and the wider hospitality sector.